COUPLE CHARGED WITH CHILD ABUSE PUBLIC SAFETY, A3
Gallup Sun VOL 10 | ISSUE 478
www.gallupsun.com
May 24, 2024
City Council inches closer to water rate decision Staff Reports
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or t he pa s t 2 9 months, city staff have tried to get the council to agree on wastewater and water r a t e c h a n ge s . Now, Ga l lup cit i zen s may finally see a change. A LONG JOURNEY In May 2022, city staff proposed a water rate increase of 22.5% for 2022 and 2023. At the time, Councilor Sarah Piano, Dist. 3, balked at the number, so staff reconvened and came back with a different number in August 2022: raising rates by 10% each year for the next four years, and by 5% for each of the two years after that. The city is trying to balance replacing and repairing lines that are past their life expectancy – causing dozens of breaks around the city every year – with making the rate increase palatable to residents and business owners. In an effort to finally agree on a rate change, the city council held a work session on May 14. Interim City Manager J.M. DeYoung told the council that staff was asking to come out of the meeting with some sort of number they could work with. Ga l lup’s Ch ief Financial Officer Patty Hol l a nd once a ga i n expressed how much del ay i n g a deci sion affects the city. “ T he u n for t u n a t e piece when you delay it like that is that the need is still there and the need is growing because we do have an aging infrastructure and we do need to give it some attention,” she said. “We want to provide high-end service to our customers, but we’re
not able to do that with the funding that we do have based on the needs of the system.” A G I N G EQUIPMENT In an interview with the Sun, the city’s Water and Sanitation Director Curtis Tallis explained the importance of the wastewater facility. “The waste that is produced by a residential home has the potential to be a health risk or danger to health,” he said. “If you look at history or even some places around the world, if we don’t contend with the wastewater there is potential to put some of the public at risk because of what they may come in contact with. So, we’ve got to be able to take that waste and transform it into a condition where it’s not harming the public or the environment.” One of the biggest problems with the wastewater treatment plant’s current situation is that a lot of the equipment is outdated – some of it was installed in 1972. City staff have been work i ng w it h RBC Wea lth Ma nagement, a company that helps organizations manage their financial goals, to deter mine how much money the city would need for the wastewater treatment pla nt’s repairs. During the May 14 meeting one of RBC’s Managing Directors Erik Harrigan told the council that about 10 months ago they had thought the plant would need about $90 million worth of capital improvements. After receiving some feedback, the city staff reconfigured that number and brought it down to $45 million.
The sign outside the City of Gallup Wastewater Treatment Plant. Photo Credit: Kim Helfenbein Tallis and his staff said one the top items that needs replaced is the plant’s belt press machine. A belt press machine sorts through
Cit y At t or ney Dav id Eason said $1 million of that amount would be a grant, but the rest would only be a loan. It would have a 0% inter-
“W
e want to provide high-end service
to our customers, but we’re not able to do that with the funding that we do have based on the needs of the system.” - Gallup’s Chief Financial Officer Patty Holland wet ter sol ids a nd squeezes fluid out from them. The solids are then transported to a landfill. One thing that may help pay for the facility improvements is a $23 m i l l ion feder a l loa n the city is looking at.
est rate though. There is one problem though: in order to get the loan, the city has to have a debt coverage rate ratio of 1.5, meaning they have to have enough financial security in the future to pay the loan
back one and a half times over. After much discussion, t he cou nci lor s decided on a 25% increase to wastewater rates in FY25, which starts July 1. After that, there will be a 3% increase each year for the next four years. A WORK IN PROGRESS After spending most of the meeting on wastewater, the council then turned to water rates. T he c ou nc i l w a s sl i g ht ly he s it a nt t o make a decision on the rate because an outside agency is currently conduc t i n g a wa t er rate study for the city. DeYoung said the study won’t be ready until the fall, but it will give the city some insight into how much they should charge different groups, such as businesses and residents. It could even look at Gallup’s elderly popu l a t ion , s i nce a majority is under a fixed
income. Once the study is complete, the agency will meet with the council to suggest appropriate rate changes. But for now, the council is on their own. They ultimately decided on a 15% initial rate increase for water in FY25, and 3% increased over each of the following four years. After the water rate study is complete, the council will be able to review their decision and make any changes they see fit. Ju s t be c a u s e t he council made decisions on the water and wastew a t er r a t e s do e s n’t mean it’s over yet. City staff still have to draft up an ordinance with the rate changes in it, and then the councilors will have to approve thar ordinance. DeYoung said the ordinance will likely appea r on either the June 11 or 25 council meeting agendas.
Gov. announces judicial appointment for the 11th Judicial District Staff Reports
G Brad Keeler
ov. Michelle Lujan Grisham announced the appointment of Brad Keeler as an Eleventh Judicial District Court Judge May 20. Keeler’s appointment fills the seat left vacant due to the retirement of the Honorable Judge Louis E. DePauli, Jr.
Since 2003, Keeler practiced as an attorney at Keeler & Keeler, LLP, most recently holding the title of partner. Keeler is a graduate of Baylor University and Southern Methodist University Dedman School of Law. He was admitted to the New Mexico Bar in 2002. His appointment begins June 8.
County terminates Fire Chief Montoya Staff Reports
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cKinley County Deputy Fire Chief Lawrence Montoya Jr. had his last day as the county’s Fire Chief on May 14, where he spoke to the county commissioners about the county’s response to the April 26 train derailment. In an inter view with the Sun,
McK inley County Deputy County Manager Brian Money said he couldn’t comment on why Montoya was terminated because it is a personnel matter that can’t be disclosed. For now, Deputy Fire Chief Tim Barry will serve as the Interim Chief. The county will advertise the position and start the hiring process in the near future.
202 We St., Gallup, NM 87301 Contact Keller Williams for more details Each office is independently owned and operated 309 E. Nizhoni Bivd. Gallup, NM 87301 Office: (505) 488-2344 George Anast: (509) 330-1951
McKinley County Deputy Fire Chief Lawrence Montoya Jr.